KYIV. April 12 (Interfax-Ukraine) – The Groclin manufacturer of automobile seat covers and upholstery for car seats to reduce costs intends to focus on production at its two plants in Ukraine (Zakarpattia and Ivano-Frankivsk regions), taking into account a cheaper labor force, according to Polskie Radio (Polish Radio).
“Groclin is convinced that wages are too high in Poland. It is more profitable to manufacture upholstery in Ukraine, where wages are less than half,” reads the report.
In this regard, the company plans in 2016 to reduce production at Polish factories in Grodzisk Wielkopolski by 65% and the main plants for the company in 2017 will become those in Uzhgorod and Dolyna (Ivano-Frankivsk region).
“In 2017 some 60% of produce will be sold in Ukraine,” reads the report citing Groclin Board Chairman Andre Gerstner.
Polish Groclin Group specializes in the production of automobile seats and seat covers. It has five production facilities in Poland, Ukraine and Germany. The staff totals 1,630 people. Most of the customers are the leading carmakers, including VW, Volvo, Renault, BMW, Ford and Opel.
